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Technology Stocks : Compaq -- Ignore unavailable to you. Want to Upgrade?


To: Piotr Koziol who wrote (88708)1/8/2001 11:34:09 AM
From: Lynn  Read Replies (1) | Respond to of 97611
 
Dear Piotr: This looks like better news for Idea Integration than for Compaq. Until I see the numbers for holiday sales, I personally am not going to make any assumptions regarding site hits and actual sales.

The reason for this is totally related to the holiday shopping for computers experiences of two friends, who both looked at CPQ's site. Neither of these people know each other and they live in different states, one in PA and the other, MA. Both people had questions and telephone CPQ after looking at the site. Neither were happy with the person they spoke with, felt the person was more interested in making a sale than addressing their questions. The one in MA ultimately bought a CPQ computer, but only because he threw up his hands and asked the friend of his son to buy something for him--the fellow came back from Best Buy with a Compaq.

The experience of my central PA friend does not please me at all. He is a long term CPQ shareholder although he has little interest in the stock market, being one of those people who let's ML handle his account. I thought I had properly convinced him that as a shareholder, even if a disinterested one, the only computer he should even consider buying for his 12-year-old grandson was a Compaq.

Well, after looking at CPQ's site, he had a number of questions he wanted answered. After talking with the CPQ woman, who he found useless, he decided the way to go would be to buy the computer through one of the Radio Shacks in his daughter's area of NJ.

He called 3 separate Radio Shacks. The sales people he spoke with ranged from totally disinterested, as in, "Why are you bothering me with your questions," to down-right ignorant: "I only take orders, call Compaq if you want answers."

Banging his head against the wall, Tom [my friend] was pointed to Gateway over dinner with friends one evening. He found out there is a Gateway store about 25 minutes from where his daughter lives so he gave them a call. Actually, he called them twice (more questions). Both people [women!] he spoke with were patient and helpful. Tom was impressed by their knowledge, patience, and general professionalism, all things he found lacking with the Compaq person and Radio Shack employees. When Tom decided to buy a Gateway, he called back and this time expressed his concern should his grandson have any trouble setting up the system. The manager (or assistant manager?) said this was not a problem, that she would personally go to their house either before or after work to give them a hand?!?!? I can not remember the name of the town where this Gateway store is, but it's the one that serves the southern part of NJ.

Besides Compaq losing a sale it really should have gotten [shareholder sale], Tom's shopping for a Compaq computer experience does displease me. People talk and Tom, the CPQ shareholder, talks, and talks, and talks about what a wonderful company Gateway is to deal with: terrible advertising for CPQ and wonderful advertising for Gateway. Also, it makes me wonder how many other holiday buyers were turned off by CPQ and/or Radio Shack personnel and as a result, bought a non-CPQ system.

So, the number of hits CPQ's site had during the holiday season does not impress me. There is a big difference between window shopping and buying. Until the numbers are released, I admit to being concerned about how CPQ did compared to others during the holiday season.

Regards,

Lynn